Following the announcement of Governor Mark Dayton’s budget proposal, the House Taxes and Ways and Means committees have begun scrutinizing the plan and determining what it means for Minnesotans.

“Minnesota’s income is growing at roughly two to two and a half percent,” State Representative Bob Gunther (R-Fairmont) said. “Yet in the governor’s proposal spending increases by 7.65 percent, meaning we’d go further in debt if the plan as it currently stands becomes law.”

Gunther said Governor Dayton’s budget would increase state spending by $2.5 billion and increase taxes on Minnesotans by nearly $3.7 billion. He also appreciates that the governor wants tax reform to be a priority.

“Governor Dayton wants to revamp our state’s sales tax and to reform the tax code,” Gunther said. “If this proposal is simply a starting point to get us talking about real tax reform, then I’m all for that.”

“But the governor’s plan in its current form does more harm than good in my opinion,” Gunther continued. “Forcing the sales tax on dozens of new areas will negatively impact the poor and middle class, and creating a business to business tax would also be very hurtful as it will ultimately raise the price of services for the consumer.”